SC upholds Bengal's takeover of 395 acres from Hindustan Motors at Uttarpara
A Bench of Justice BV Nagarathna and Justice KV Viswanathan dismissed a plea filed by Hindustan Motors challenging the May 2025 judgment of the Calcutta High Court, which had affirmed the State's right to resume the unused land.
The Court declined to entertain the company's arguments, observing that it found no ground to interfere with the High Court's reasoning, which was based on the automobile manufacturer's decades-long non-utilisation of the land.
This brings an end to the long-standing legal dispute that began when the State issued a resumption order under Section 6(3) of the West Bengal Estates Acquisition Act, citing prolonged disuse of the land.
The order was first upheld by the West Bengal Land Tribunal and later by the Calcutta High Court.
The Supreme Court also upheld the High Court's endorsement of the constitutional validity of Explanation II to the proviso to Section 6(3) of the Act, which formed the legislative basis for the State's resumption proceedings.
The Court recorded that it saw no infirmity in the High Court's interpretation and refused to interfere.
Senior Advocate Shyam Divan, appearing for Hindustan Motors, argued that the resumption order was arbitrary and that the land continued to be part of the company's industrial estate despite being unused.
However, the Court was not inclined to disturb the concurrent findings of the Tribunal and the High Court, which held that the resumption served a larger public interest.
The decision comes amid the West Bengal government's push for optimal utilisation of industrial land.
Just four days ago, the State leased out 40 acres of the resumed 395-acre parcel to Titagarh Rail Systems to set up a state-of-the-art coach manufacturing facility at Uttarpara.
According to the State, this facility will augment Titagarh's existing unit and become the largest such plant in Asia outside China.
The State was represented by Senior Advocates Abhishek Manu Singhvi, Rakesh Dwivedi, and Shadan Farasat, along with a team from Fox & Mandal led by Debanjan Mandal and Kunal Vajani.
Hindustan Motors was represented by Senior Advocate Shyam Divan and advocate Divyanshu Kumar Srivastava, while Titagarh Rail Systems was represented by Senior Advocate Mukul Rohatgi and advocate Mahesh Agarwal.
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